Looking for a Vacation, Investment, or a Second Home?

If you’re considering purchasing a second property for investment or vacation purposes, you’ll need to look into the financing options that are available to you. Here are some things to keep in mind:

• A second property may qualify for a standard mortgage, but the interest rate is likely to be higher than for your primary residence.

• A larger down payment (usually 20-25%) may also be necessary, as well as a higher credit score.

• You could also take out a home equity loan or line of credit on your main residence. This might be a more affordable way to finance a second property, but remember that you would be putting your home at risk if you couldn’t repay the loan.
• If you need financing for an investment property, a portfolio loan may be right for you. This type of loan is created with investors who own several properties in mind.

• Make sure to shop around and compare rates from different lenders before deciding on any type of financing.
• Some benefits of owning a second property for vacation investment or as a second home are:

• Offering accommodation during your vacation
• Making money from your rental property when you’re not using it
• Being a valuable asset that can appreciate in value over time is important.
• Second properties provide great returns if you rent them out when you are not using them, or if you decide to sell when the real estate market is good.

Mortgage brokers are experts in guiding you through the purchase of a second home or investment property. They will help you find the best lender and the best rate for your second property.